Banks Pulling Out from Torm’s Restructuring Talks
- Business & Finance
Only five banks are left standing from the initial thirteen in the negotiations to restructure Danish debt-stricken shipping company Torm.
Danske Bank is said to have pulled out from the talks, according to sources cited by the Lloyd’s List, who said that the bank is trying to divest its stake in Torm.
Danske Bank follows in the footsteps of the Danish Ship Finance and Nordea along with the French major bank BNP Paribas.
The move might influence the remaining parties to sell at a reduced price, especially taking in consideration the ever growing pressure exerted by the European Central Bank (ECB) on banks to increase their capital resources.
In May, the Danish shipper reported a first quarter loss of $222 million before taxes, predominantly due to an impairment charge.
World Maritime News Staff, July 21st, 2014,